Buy Pepsi Before Management Figures Out What's Wrong: Janney

By

Avi Salzman

Oct. 12, 2011 5:26 p.m. ET

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By

Avi Salzman

Oct. 12, 2011 5:26 p.m. ET

Pepsico (PEP) is underinvesting in its brands in developed markets, which is leading to weak sales, writes Jonathan Feeney, an analyst at Janney Capital Markets. It's a mistake by management, but one that can be fixed. In the meantime, investors would be wise to grab Pepsi shares now before the company turns itself around and the shares pop, Feeney argues.